Walgreens Drugstore with
For Sale
$4,167,000
760 W Michigan Ave, Kalamazoo, MI 49007
Single-tenant Walgreens includes a drive-thru and operates under an absolute net lease with corporate guarantee.
Property Size14,550 SF
Price / SF$286.39
Days on Market121
Property Features for 760 W Michigan Ave
General Information
Standard status
Active
Size
14,550 SF
Property subtype
Drug Store
Lease Type
Absolute Net
Amenities
Absolute Net Lease With ~8 Years Remaining & No Landlord Responsibilities
Corporate Guarantee Provides Stable Passive Income
Less Than 1 Mile From the $515 Million Kalamazoo Event Center Expected to Draw over 700,000 People Annually
Drive Thru Location With Beer & Wine Sales Supporting Daily Needs Traffic
Strong Visibility & Access Along West Michigan Avenue & Nearby West Main Street With ~36,104 Combined VPD
Convenient Access Near the I 94 Business Loop Serving Downtown & Regional Traffic
Proximity to Western Michigan University , Kalamazoo College, & Major Medical Institutions Including Bronson & Beacon
Strong Demographics with 144,151 Residents & $82,766 Average Household Income
Building Details
Building Size
14,550 SF
Listing Agency:
Marcus & Millichap - Detroit
Listed By:
Ashish Vakhariya · License #License(s): MI: 6501322501
(248) 415-2636
Source:
Marcusmillichap
Added: May 8
Changed: Sep 3
Last Checked: Sep 4 at 2:07AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Marcus & Millichap - Detroit
Investment Insights
Based on property information with market context.
This Walgreens property is a single-tenant, investment-grade retail building offered for sale on an absolute net lease structure. The store is approximately 14,550 square feet and sits on approximately 1.49 acres. The property features strong street presence and convenient access, and includes a drive-thru. The offering also includes beer and wine sales.
The location is on West Michigan Avenue in downtown Kalamazoo, along a high-traffic corridor. The description notes approximately 20,707 vehicles per day on West Michigan Avenue and approximately 15,397 vehicles per day on nearby West Main Street, with convenient access near the I-94 Business Loop.
Walgreens operates under an absolute net lease with a corporate guarantee and approximately eight years remaining on the lease term, and the tenant performance is described as providing investors with stable income and minimal landlord responsibilities.
The location is on West Michigan Avenue in downtown Kalamazoo, along a high-traffic corridor. The description notes approximately 20,707 vehicles per day on West Michigan Avenue and approximately 15,397 vehicles per day on nearby West Main Street, with convenient access near the I-94 Business Loop.
Walgreens operates under an absolute net lease with a corporate guarantee and approximately eight years remaining on the lease term, and the tenant performance is described as providing investors with stable income and minimal landlord responsibilities.
Key Highlights
- Single‑tenant Walgreens operating under an absolute net lease with corporate guarantee
- 14,550 SF building on approximately 1.49 acres, built in 2014
- Drive‑thru included; beer and wine sales
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$136,508
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.28%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$2,730,160
$2.7M
Cap Rate 7%
$1,950,114
$2.0M
Cap Rate 9%
$1,516,756
$1.5M
Market Conditions
NOI Build-Up for 14,550 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$191.2K $13.14/SF
− Vacancy
−$9.2K −$0.63/SF
EGI
$182.0K $12.51/SF
− OpEx
−$45.5K −$3.13/SF
NOI
$136.5K $9.38/SF
Area
Kalamazoo County, MI
Vacancy
4.80%
Lease Rate
$13.14 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$2,730,160
Cap Rate 7%
$1,950,114
Cap Rate 9%
$1,516,756
Alternative Uses
Best Use
Specialty Retail
$1.95M
$1.71M – $2.28M
NOI $136,508 @ 7.0% cap · market cap 3.28%
Second Best
Retail
$1.43M
$1.25M – $1.67M
NOI $100,343 @ 7.0% cap · market cap 2.41%
Theoretical Best
Warehouse
$3.81M
$3.33M – $4.44M
NOI $266,521 @ 7.0% cap · market cap 6.40%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,763
Businesses Nearby
21k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 78%
Hotels & Casinos 12%
Dining 10%
Shell
Shops & Services
13,648 visits/mo
0.3 miles
Citgo
Shops & Services
3,053 visits/mo
0.3 miles
Comfort Inn
Hotels & Casinos
2,592 visits/mo
0.1 miles
Jimmy John's
Dining
2,166 visits/mo
0.4 miles
Demographics for 49007, MI
10,353
Population
5,102
Households
2
Avg Household Size
31
Median Age
24%
College-Educated
84%
High-School Grad
3.5 sq mi
ZIP Area
2,958
Density / Sq Mi
$39,309
Median Household Income
$24,723
Median Earnings
$1,017
Median Rent
$103,400
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Kalamazoo Long Term Care — 1000 S Burdick St, Kalamazoo, MI 49001
- OptiMed Pharmacy (Oakland Drive) — 1000 Oakland Dr, Kalamazoo, MI 49008
- Cynthia L. Feucht, PharmD — 1000 Oakland Dr, Kalamazoo, MI 49008
- Andrew J. Reeves, RPH — 1000 Oakland Dr, Kalamazoo, MI 49008
- Wmed Family Medicine — 1000 Oakland Dr, Kalamazoo, MI 49008
Frequently Asked Questions
What type of property is this?
Drug store - Single-tenant Walgreens includes a drive-thru and operates under an absolute net lease with corporate guarantee.
Where is this drug store located?
The property is located at 760 W Michigan Ave Kalamazoo, MI.
What is the asking price?
The asking price for this property is $4,167,000.
What are key features of this property?
This property features: Single‑tenant Walgreens operating under an absolute net lease with corporate guarantee; 14,550 SF building on approximately 1.49 acres, built in 2014; Drive‑thru included; beer and wine sales
